Finance82363.pptVIP

Chapter 1 Investments: Background and Issues 1.1 Real Versus Financial Assets 1.2 A Taxonomy of Financial Assets 1.3 Financial Markets and the Economy 1.6 The Players Securitization Securitization has grown rapidly due to Changes in financial institutions and regulation permitting its growth, particularly lower capital requirements on securitized loans, Improvement in information capabilities, Credit enhancement provided by pool issuers has improved marketability. Figure 1.1 Asset-backed Securities Outstanding Financial Engineering Repackaging cash flows of a security to enhance marketabi